Bill
Bill > HB380
summary
Introduced
01/14/2026
01/14/2026
In Committee
01/22/2026
01/22/2026
Crossed Over
Passed
Dead
Introduced Session
2026 Regular Session
Bill Summary
Amend various sections and create new sections of Subtitle 11 of KRS Chapter 286 to expand the scope of the subtitle to include virtual currency kiosk business; define terms; require licensure for virtual currency kiosk business in this state; require each virtual currency kiosk business location to be approved by the commissioner of the Department of Financial Institutions; require each application for a license to engage in virtual currency kiosk business to be accompanied by a surety bond or other similar security; establish requirements for approval to engage in virtual currency kiosk business at a location in this state; apply examination, investigation, recordkeeping, registered agent, and trade practice requirements to virtual currency kiosk operators; establish reporting, transaction, trade practice, notice, disclosure, fraud detection, and refund requirements for virtual currency kiosk operators; apply license and civil penalties to virtual currency kiosk operators; authorize the commissioner to order any virtual currency kiosk operator to provide refunds and to direct any peace officer to seize, impound, or render inoperable a virtual currency kiosk; establish the purpose of the Act; amend KRS 286.2-015 to authorize political subdivisions of this Commonwealth to enact and enforce ordinances, regulations, and resolutions pertaining to virtual currency kiosk business; create a new section of KRS Chapter 367 to provide that a violation of Subtitle 11 of KRS Chapter 286 by a virtual currency kiosk operator shall be deemed a violation of, and subject to the remedies and penalties of, KRS 367.170; repeal KRS 286.11-065, relating to licenses issued under former KRS Chapter 366; require the commissioner to promulgate emergency and ordinary administrative regulations to implement the Act within 30 days after the effective date of the Act; provide that persons shall not be required to comply with licensing and other provisions of the Act until certain contingencies are satisfied.
AI Summary
This bill expands existing regulations for money transmitters to include virtual currency kiosk businesses, requiring them to obtain a license from the Commissioner of the Department of Financial Institutions (KDFI). Operators must secure a surety bond, have each kiosk location approved by the Commissioner, and adhere to various operational requirements including recordkeeping, reporting, transaction limits, and consumer disclosures. The bill also grants political subdivisions the authority to enact ordinances related to virtual currency kiosks, provided they do not directly conflict with state law, and establishes that violations of these regulations by virtual currency kiosk operators are considered unfair trade practices, subject to penalties under consumer protection laws. The KDFI Commissioner is empowered to order refunds, seize kiosks, and promulgate necessary regulations, with certain provisions taking effect at a later date or upon specific contingencies being met.
Committee Categories
Business and Industry
Sponsors (2)
Last Action
to Banking & Insurance (H) (on 01/22/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://apps.legislature.ky.gov/record/26RS/hb380.html |
| BillText | https://apps.legislature.ky.gov/recorddocuments/bill/26RS/hb380/orig_bill.pdf |
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